I was thrilled to find the following information on the very mainstream, very common website: Baby Center. Its so nice to see such rational advice being given out...sometimes I feel so overwhelmed by the lack of the opposite in today's world.
What are the long-term effects on a toddler of sharing her parents' bed?
In Western societies, toddlers typically sleep alone. But there doesn't seem to be any health or development benefit to solitary sleep, and some recent studies show the opposite is true. Researchers around the world have discovered that children who sleep share are more independent, more outgoing, and more confident. As adults, they have higher self-esteem, better stress-management skills, and are more comfortable with intimacy than adults who slept alone as young children. Of course, sleeping arrangements by themselves cannot produce a particular type of person. Think of this decision as one of many you'll make to help your toddler feel loved and secure.
James McKenna, sleep expert